Page 24 - PowerPoint Presentation

GENERAL PRINCILES OF AUDITING

WHY PERFROM TESTS OF CONTROLS? (continued…)

• Tests of controls are performed to obtain

evidence of whether:

• Controls are suitably designed to prevent or

detect and correct material misstatements and,

• These controls operated effectively throughout

the period being audited.

• Satisfactory results from TOCs reduce control

risk an hence audit risk.

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